LANSING – If you’re sick of losing money on gift cards because you don’t use them fast enough, don’t fret, a solution is in the works.

The Michigan House of Representatives is debating three bills that would regulate gift cards more strictly. The bills are tie-barred, meaning that none of them would take effect unless all were passed.

The three proposals would ban deceptive practices by companies, such as changing the terms of a gift card after it has been issued or refusing to apply the balance of a card to purchases when the items cost more than the balance. They would also prohibit retailers from charging an inactivity or service fee.

According to Tom Scott, vice president of public affairs and communication for the Michigan Retailers Association, gift cards have become a much more important part of the marketplace.

But while gift cards have risen in popularity, so has the issue of stores abusing them.

Co-sponsor of one of the bills, Rep. Kate Ebli, D-Monroe, said there is something inherently wrong about purchasing a gift card that diminishes in value.

Currently, many gift cards charge dormancy fees if a card is not used within a given period of time.

Ebli also said that many times consumers are simply not aware of the restrictions and limitations on certain cards.

As long as retailers make the consumer aware of the terms and limitations of a card when they buy it said Scott, it represents a contract between the two.

Also under the proposals would be a requirement that gift cards have an expiration date of no less than five years, amended from having no expiration date.

This provision would allow consumers to take their time in making purchases, but would also place a burden on stores.

“The reason they are there is because vendors don’t count it as a sale until (the gift card) has been redeemed,” said Scott. “They carry that obligation on their books.”

At the moment, money from expired gift cards is escheated by the state.

Scott said some other states have or are considering legislation regarding gift cards, but that he is not aware of any national laws.

According to the National Conference of State Legislatures, 19 states have laws restricting the length of expiration dates and eight others completely ban expiration dates for gift cards sold.

The proposals would not apply to prepaid bank cards and if passed, stores would be fined no more than $25,000 “for cases of persistent and knowing violation,” and $5,000 for each additional violation.